Analysis of the Risk of a Shortage of Operating Stocks in an Item-Unbalanced Spare Parts Supply System

Inventory creation of rechargeable batteries for vital operating equipment requires continuous monitoring of material flows and their optimization. Optimizing inventory processes and material flows in logistics chains is a complex task that depends entirely on knowledge of data on past flows and plans or predictions of future flows. Equally important are knowledge of the service life of materials and knowledge of mathematical models, including the possibilities and regularities of their application for various model situations. The input data for each specific subject reflects not only the business task, but also its concept and position in the sales or production market. It is obvious that the concept of inventory creation will be different for a manufacturing company, different for a commercial subject and different for a state-financed entity. The state-financed and managed entities have specific requirements for the creation of inventories arising from the purpose of their existence and concurrently from the restrictions given by the management systems and regulation of financial flows. It is the limitation resulting on the one hand from the methodologies and laws governing the principles of public procurement that may be in partial conflict with internal normative acts. Using the analysis of input parameters of purchases with subsequent application to a specific inventory creation model from inventory theory, the influence of standard inventory creation processes on the speed and completeness of spare parts deliveries and the resulting level of the maximum required amount of held inventory is shown on the selected entity.

Analisis Sistem Akuntansi Persediaan Bahan Baku Dalam Mengendalikan Persediaan

<div class="page" title="Page 1"><div class="layoutArea"><div class="column"><p><span>The purpose of this study was to determine and explain the method of recording inventory, the application of the accounting system for raw material inventory, and inventory control carried out at pada PT. YYY In this study, the data obtained by the researcher used a qualitative descriptive method. This study uses primary data and secondary data where the data is carried out by direct research into the field and also uses library research.The results of the analysis show that found differences regarding the method used by the company with theory, the unit was in accordance with theory and no differences were found regarding the application of systems and procedures related to the inventory accounting system and related functions in the existing raw material inventory. theory and there are additional functions, namely warehouse functions, production, shipping and purchasing. However, there are multiple functions and there is often a mutation of goods without supporting documents and using only verbal at PT. YYY. </span></p><p> </p></div></div></div>

ON INFLUENCE OF SUPPLY FIRM’S MARKET POLICY ON OPTIMIZATION OF ITS ORDERING POLICY WITHIN SUPPLY CHAIN

As is known, the problem of determining economically justified volumes of supplies in the theory and practice of logistics management plays a key role in ensuring the efficient operation of both individual enterprises and supply chains. Logistics, which is the science of effective management of material, information and financial flows in the field of production and circulation, is closely related to such sections of operations research as mathematical programming, inventory management theory, schedule theory, queuing theory and more. Many tasks of logistics are directly related to the optimal management of stocks of raw materials, semi-finished and finished products, as well as the construction of an optimal schedule for delivery of finished products to points of consumption with the participation of trunk transport. Thus, since the issues of optimal inventory management are of paramount importance in logistics, it means the importance of inventory theory in the design and operation of various logistics systems. The article is devoted to substantiation of expediency and efficiency of additional costs of a supply firm for advertisement with the aim to its profit increasing on the fixed planning horizon under supposition that the expected demand at point of destination may be controlled by firm. For this problem solving the modification of classical Wilson’s model from inventory control theory is used to maximize the total profit of firm for sailing the good, taking into account ordering, delivery and storage of good costs on the planning horizon and additional cost for advertisement of good. It is assumed that buying/sailing prices of good are known, as well as daily expenses for storage of good at warehouse. It is supposed also that demand for the good is an increasing function of advertisement costs. The case of linear dependence of demand on advertisement cost is studied in details. For this particular case the optimal value of ordering party of good and optimal value of cost for advertisement are found in evident form. It is shown also that above optimization model may be generalized for the case of several kinds of good. Restrictions on the capacity of the warehouse for storage of goods and restrictions on the financial resources available to the company allocated for advertising activities are taken into account. A convex optimization problem is obtained, which can be solved numerically using the Excel application package.

An Inexact Inventory Theory-Based Water Resources Distribution Model for Yuecheng Reservoir, China

In this study, an inexact inventory theory-based water resources distribution (IIWRD) method is advanced and applied for solving the problem of water resources distribution from Yuecheng Reservoir to agricultural activities, in the Zhanghe River Basin, China. In the IIWRD model, the techniques of inventory model, inexact two-stage stochastic programming, and interval-fuzzy mathematics programming are integrated. The water diversion problem of Yuecheng Reservoir is handled under multiple uncertainties. Decision alternatives for water resources allocation under different inflow levels with a maximized system benefit and satisfaction degree are provided for water resources management in Yuecheng Reservoir. The results show that the IIWRD model can afford an effective scheme for solving water distribution problems and facilitate specific water diversion of a reservoir for managers under multiple uncertainties and a series of policy scenarios.

Health economic analysis of pharmaceutical inventory levels

PurposeHumanitarian crises increase vulnerability of children to pneumonia, so aid agencies store pharmaceuticals in advance of this demand. Decisions on how much to store are plagued by many diverse challenges as is common in humanitarian contexts, so this study considers storing more medications to improve the relatively poor (∼80) demand coverage at a representative aid agency.Design/methodology/approachThe paper combines inventory theory with health economics to calculate the impact inventory increases would have on the final cost of pneumonia treatment. It can then assess to what extent inventory can be increased while pneumonia treatment remains cost effective.FindingsThe study finds that more drug investment has only a small effect on the final treatment cost. Substantial drug inventory increases remain well within established guidelines for highly cost-effective treatments, so the agency should consider large increases as an efficient use of funding.Research limitations/implicationsThe study focuses on pneumonia treatment only to allow sufficient depth of analysis. Further research could look at many other treatments using the same approach, although some problem scenarios will include complicating parameters like drug perishability.Practical implicationsThe level of pharmaceutical inventory at humanitarian warehouses is a high-value decision for the aid sector. The method shows the potential for health economics to provide practical decision support for a wide range of humanitarian and ministry of health warehouse operations. While large increases in inventory investment are within guidelines, there is an asymptotically increasing cost as demand coverage approaches 100%. As a result, decision makers may want to set a target demand coverage (e.g. 99%) and allocate remaining aid funding to other projects.Originality/valueMany humanitarian supply chain decisions lack analytical support due to issues with complexity, scale or a lack of reliable input data, and this study is the first to provide analytical insights which can greatly improve the current approach to inventory control policies for pneumonia medications and beyond.

Preservation technology investment, trade credit and partial backordering model for a non-instantaneous deteriorating inventory

In a perfectly transparent and competitive market, suppliers must provide a competitive pricing and service for their customers. The aim of this study is to provide an insight into how preservation technology and credit financing could be used both to reduce the deterioration rate as well as to provide flexible financing for retailers. The methodology is to optimize the cycle length, selling price, the amount of preservation technology and credit financing using inventory theory. The result derived is an optimal total profit per unit time for the system. Finally, using MATLAB 2017a, it is shown graphically that the profit function is concave. The sensitivity analysis is illustrated using Lingo 17. The study not only provides insights to business managers in making wise managerial decisions, it also enables them to weigh the pro and con of implementing preservation technology and credit financing.